DENMARK. Copenhagen Airports’ commercial revenues outstripped passenger growth in the first half of 2005.
The Danish and international airports operator posted a +10.7% increase in commercial revenues to DKK543.2 million at flagship location Copenhagen Airport. Its international properties (see below) are recorded separately.
Copenhagen Airports attributed the commercial turnover increase to improved concession revenues and a rise in hotel revenues in Copenhagen. However, the airport shopping centre posted a -4.2% decline in revenue to DKK208.6 million for the first half. The company blamed this on a fall in duty free sales [run by The Nuance Group] following the accession of ten new states to the European Union in 2005 – and the result abolition of duty free allowances to passengers bound for those destinations.
Parking revenues rose +28.7% to DKK68.7 million and other concession revenues increased by +36.0% to DKK55.5 million. The latter was mainly attributable to new contracts and increased revenues from the airport’s bars and restaurants “as a growing number of passengers are travelling on economy class or low-cost flights without access to airport lounges or inflight meal services”.
Rent from premises revenues climbed +8.1% to DKK68.1 million “attributable to new leases and contractual rent increases”.
At Copenhagen Airport passenger numbers rose +2.4% year-on-year in the first half. Passenger growth was mainly seen on European and intercontinental routes. International passenger traffic rose by just +1.9% but charter traffic, defined separately, performed well, increasing by +13.4%.
The group’s international revenues (aeronautical and non-aeronautical) rose +18.0% year-on-year to DKK16.4 million, driven by growing revenues from Newcastle Airport and a consulting contract in Oman.
The group’s total revenues climbed +10.7% to DKK1,331.1 million. EBIT per passenger increased +7.8% to DKK52.77. Profit before tax rose +24.7% to DKK418.6 million. The group said its full-year pre-tax profit forecast of approximately DKK900 million remained in place.
Copenhagen Airports has international interests in Newcastle International Airport, the ASUR group of airports in Mexico and Hainan Meilan Airport in China. It has signed a concession agreement with the Bulgarian government to operate the airports at Varna and Bourgas under a 35-year concession agreement. This month it also made an indicative bid for Budapest Airport. The Hungarian government is expected to decide next month which companies to invite to table a final bid for the airport.
MORE STORIES ON COPENHAGEN AIRPORTS
First half duty free revenues fall at Copenhagen Airport due to expanded EU effect – 18/08/05
Copenhagen Airports sees Newcastle traffic rise; Hainan continues to fall – 12/08/05
Copenhagen Airport July traffic climbs +5.7%; strong charter figures – 09/08/05
